[Edaily Reporter kyoungeun kim ] On the 21st (local time), the New York stock market rebounded, buoyed by strong earnings reports from SpaceX and Supermicro Computer. Although doubts about the profitability of AI investments persist, corporate earnings appeared to be reviving investor sentiment. All three major indices rose, with the Nasdaq climbing more than 1%.

Tesla, which reported after the market closed, posted a free cash flow surplus of $1.53 billion, contrary to market expectations, while Meta’s third-quarter revenue rose 26% year-over-year to a record high. However, IBM fell 5% in after-hours trading despite beating earnings estimates.

Russia has agreed in principle to resume trilateral ceasefire negotiations with the U.S. and Ukraine, opening the possibility that talks could resume as early as November 10. The U.S. State Department ordered the evacuation of non-essential diplomats and their families stationed in Saudi Arabia, citing the escalation of attacks by Houthi rebels on the country.

Here are the news items to watch before the market opens on the 22nd.

◇ Nasdaq up 1.05%·S&P 500 up 0.58%… Led by SpaceX and Supermicro

- The Nasdaq index closed at 26,702.86, up 1.05% from the previous trading day. The Standard & Poor’s (S&P) 500 index rose 0.58% to 7,757.17, marking its third consecutive trading day of gains. The Dow Jones Industrial Average also closed up 0.69% at 52,856.09.
- The S&P 500 Information Technology sector index rose 1.6%, posting the highest gain among the 11 sectors. The Philadelphia Semiconductor Index also rose 2%. AMD rose in the 3% range, and NVIDIA rose in the 2% range.
-SpaceX surged 7.8% on news that its third-quarter revenue increased 161% year-over-year and revenue from its AI business grew ninefold. Supermicro soared 9.6% after presenting revenue and profit margin forecasts that exceeded market expectations. Dell (5.3%) and HPE (3.7%) also rose.

◇Tesla Returns to Positive Free Cash Flow; Meta Posts Record Revenue

-Tesla’s third-quarter revenue was $28.05 billion, similar to the same period last year. Adjusted EPS was 48 cents, exceeding market expectations. Free cash flow posted a surplus of $1.53 billion—an earnings surprise—as the market had anticipated a cash outflow of $4.3 billion to $5.0 billion.
-However, net income fell significantly to $787 million from $1.37 billion in the same period last year. The stock price rose even in after-hours trading.
-Meta’s third-quarter revenue rose 26% year-over-year, setting a new all-time high. The company raised the lower end of its capital expenditure forecast for this year to $135–145 billion, an increase of $5 billion. The company also decided to issue new Class C non-voting common stock to secure funding for AI investments. However, free cash flow recorded a deficit of $2.2 billion due to $9.9 billion in litigation costs. Meta’s stock price rose in after-hours trading.
- IBM exceeded market expectations with third-quarter adjusted EPS of $2.95 and revenue of $17.1 billion, but its stock price fell in after-hours trading. Tatiana Darié of Bloomberg noted, “The sustained recovery of tech stocks depends on how much the gap between rising AI deployment costs and cash flow can be narrowed.”

◇Possibility of Resuming Russia-Ukraine Trilateral Ceasefire Talks… “After November 10”

- Yuri Ushakov, the Kremlin’s foreign policy adviser, stated that Russia is prepared to resume trilateral negotiations with the U.S. and Ukraine. He mentioned that talks could resume as early as after November 10 in Abu Dhabi, UAE. This raises the possibility of resuming the trilateral negotiations, which have been effectively suspended since last February.
- Steve Witkopf, President Trump’s special envoy, visited Russia the day after meeting with Ukrainian President Zelenskyy and European leaders, where he held a meeting with President Putin that lasted about three hours. Jared Kushner also participated remotely. President Putin also expressed his willingness to mediate the conflict between Iran and the U.S.
-However, gaps on key issues remain. Russia is demanding full control over Donetsk and the exclusion of Ukraine from NATO membership. Zelenskyy is calling for a ceasefire along the current front lines and consultations on U.S. security guarantees. International oil prices saw upward pressure partially limited by expectations of a resumption of Russia-Ukraine talks. Brent crude closed at $108.82, up $0.03, while WTI closed at $97.15, down 0.68%.

◇ U.S. State Department Orders Evacuation of Diplomats from Saudi Arabia… Houthi Attacks Intensify

- U.S. State Department Spokesperson Pigott stated on the 21st (local time), “We have ordered non-essential U.S. government personnel and their families to leave following attacks by Houthi rebels on civilian facilities in Saudi Arabia.” Since last week, Houthi rebels have launched concentrated attacks on Riyadh Airport and oil facilities, resulting in 15 deaths and more than 300 injuries over three days. Riyadh Airport remains closed.
-It is reported that the U.S. is also proceeding with the evacuation of staff families from other diplomatic missions in the Gulf region. The UAE has called for strengthened joint security and defense cooperation among Gulf nations.

◇SK hynix Ends 40 Trillion Won Share Buyback Early… Plans Additional Shareholder Returns on the 28th

-SK hynix(000660)announced on the 21st that it had completed a two-month share buyback program worth 40.00434 trillion won on the KOSPI. - The company acquired 24.07 million shares (approximately 3.3% of outstanding shares), all of which are scheduled to be canceled. This marks the largest-ever share cancellation by a domestic listed company. The buyback period, originally scheduled to run through November 19, was concluded about a month ahead of schedule.
- Previously, SamsungElectronics(005930)also acquired 56.85 million shares of its own stock from August 24 to October 6, investing approximately 15 trillion won. This marks the completion of share buybacks by both major semiconductor companies, which served as a pillar of support for the domestic stock market amid selling pressure from foreign investors. SK hynix plans to announce additional shareholder return measures when it releases its third-quarter earnings on the 28th.